JP Morgan chooses C&W and DTZ for City disposals
Property Week reports that JP Morgan has chosen Cushman & Wakefield and DTZ to work on a strategy to dispose of up to 800,000 sq ft of office space in the City of London, ahead of the investment banking unit’s move to Canary Wharf in 2013. JP Morgan is expected to sublet buildings rather than surrendering the leases as this would involve hefty penalties, Property Week notes.
While the group’s treasury and securities division will stay at 60 Victoria Embankment (bought in December for about £250m) and the asset management arm will also remain in the City (it currently occupies 147,000 sq ft on Finsbury Street), most of its London employees will be moving to 25 Bank Street in Canary Wharf next year. JP Morgan bought the former Lehman Brothers HQ in December for £495m.
The proposals may involve the subletting of the 324,000 sq ft 10 Aldermanbury Square building bought by JP Morgan’s asset management arm for about £260m in March. This property is currently leased to the parent group until 2025. Other properties that may be sublet include 382,000 sq ft in Alban Gate at 125 London Wall, and 154,086 sq ft at 20 Moorgate, Property Week says, adding that Knight Frank had also been on the three-firm shortlist for the job.
